Layoffs in China

Longi representing approximately 5% of its workforce on 2024-03-18.

Arm Holdings laid off 70 employees on 2023-12-18.

Moore Threads on 2023-11-06.

Chinese electric vehicle maker Nio announced in early November 2023 that it would cut approximately 10% of its workforce as part of a major reorganization. This decision, communicated by CEO William Li in an internal letter, comes amid fierce competition in the world's largest auto market. The layoffs, aimed at reducing costs and improving efficiency, are intended to help the company refocus resources on core technologies, sales capabilities, and scheduled product launches while eliminating duplicate or inefficient roles. The move follows Nio's participation in a price war earlier in the year, having reduced its vehicle prices significantly in June. The restructuring was scheduled for completion within that same November.

NIO representing approximately 10% of its workforce on 2023-11-03.

Roblox China, the joint venture between Roblox and Tencent known as LuoBu, laid off 15 employees in October 2023. This affected a small number of staff in both its U.S. and Shenzhen headquarters. The company, which has an estimated headcount between 100 and 499 employees, stated the layoffs resulted from an evaluation of its operational structure following the platform's service halt nearly two years prior. This move reflects the unique challenges and scaled-back operations of the venture in China's gaming market, as the broader Roblox corporation shifts focus from expansion to financial sustainability.

In August 2023, iQiyi Smart, the VR equipment subsidiary of streaming giant iQiyi Inc., underwent significant layoffs and financial distress as the broader metaverse hype faded. The company, operating in the competitive VR hardware industry, had conducted multiple rounds of downsizing over the preceding six months, reducing its total headcount to below 100 employees. In some departments, the layoffs reached as high as 50% of the staff. This restructuring was driven by the startup's struggle to achieve profitability and mainstream adoption in a sector that has yet to gain widespread consumer traction. Concurrently, the company had been delaying or withholding salary payments to employees since March 2023, highlighting its severe cash flow challenges.

China's AI chipmaker Cambricon, through its autonomous driving chip subsidiary SingGo, has reportedly laid off nearly half of the software department employees, retaining only a core team. This significant reduction, occurring around July 2023, reflects the intense challenges within the semiconductor industry, particularly for Chinese AI chip developers facing operational hurdles and financial pressures despite the broader AI boom. The layoffs are part of a strategic adjustment as the company navigates a difficult market environment and strives to streamline its operations.

Alibaba Cloud, the cloud computing division of Chinese e-commerce giant Alibaba, is laying off 7% of its workforce as it prepares for an independent public listing. The restructuring follows the company's March announcement to split into six units, with the cloud division slated for a full spin-off within a year. While Alibaba Cloud leads in market share within China and ranks second in Asia-Pacific, its revenue growth has slowed, partly due to the loss of major clients like ByteDance and a strategic shift toward higher-quality growth. The layoffs, confirmed in May 2023, are part of efforts to streamline operations ahead of the IPO, with affected employees offered severance packages or internal transfer opportunities.

Hulu laid off 200 employees on 2023-03-30.

Tencent, Asia's largest internet company, is making personnel adjustments in its extended reality (XR) unit, affecting over 300 employees, following a change in its hardware development plans. While denying reports of disbanding the business entirely, the company confirmed on February 22, 2023, that it is restructuring some teams, offering affected staff two months to seek new opportunities internally or externally. This move marks a shift for Tencent, which had ventured into hardware with the XR unit in June 2022 as part of its metaverse strategy, amidst broader industry challenges in the tech sector.

In January 2023, Xiaomi-backed Chinese gaming phone maker Black Shark underwent severe layoffs, reducing its workforce from over 1,000 employees to just over 100, meaning hundreds were cut, representing a drastic reduction of roughly 90%. The company cited tremendous operational difficulties following a failed acquisition deal with Tencent Holdings. Multiple rounds of layoffs since August 2022 culminated in affected employees receiving incomplete severance payments, with some reporting as little as 2,000 yuan, sparking public outcry on social media. Black Shark, operating in the competitive smartphone and gaming hardware industry, pledged to address its funding issues to fulfill remaining severance obligations.

Huobi laid off 275 employees representing approximately 20% of its workforce on 2023-01-06.

Graphcore on 2023-01-01.

Chinese video platform Bilibili has initiated a new round of layoffs affecting its operations, gaming, and streaming units, with 30% of staff in these teams being let go. The company attributed the move to necessary business adjustments but clarified it does not constitute a large-scale workforce reduction. Affected employees are being offered a compensation package of "N (years of service) + 2" months' salary. Some staff have already departed, while others are negotiating terms, with dissatisfaction centered on the timing at year-end, which reportedly prevents them from receiving an annual bonus equivalent to about three months' salary. The layoffs reflect ongoing adjustments within the competitive Chinese tech and online video industry.

Zhihu representing approximately 10% of its workforce on 2022-12-20.

Chinese smartphone giant Xiaomi has initiated a significant round of layoffs across several departments, including its core smartphone and internet services units, as reported in late 2026. While the exact total number of employees affected was not disclosed, the cuts were severe in some areas, with certain teams in China seeing reductions of up to 75% of their staff, and the internet department experiencing a 40% headcount decline. The layoffs come in the context of a challenging economic period for the company, which saw a 9.7% year-on-year revenue decline and a 59.1% drop in adjusted net profit in Q3 2026, largely due to falling smartphone shipments. Affected employees were offered compensation packages following an "N+2" formula. As a major player in the consumer electronics and technology industry, this restructuring reflects broader pressures within the competitive tech sector.

Tencent on 2022-11-15.

In September 2022, AI chip startup Graphcore announced plans to reduce its global workforce due to challenging macroeconomic conditions, though the exact number of layoffs and percentage of its then approximately 633 employees were undisclosed as consultations were ongoing. The UK-based semiconductor unicorn, valued at $2.7 billion, cited the need to prioritize for sustainable growth in 2023 despite holding significant cash reserves. This move followed a period of rapid expansion and substantial funding, highlighting the pressures faced by even well-capitalized tech startups in the AI hardware industry amid economic headwinds.

Chinese online grocery company MissFresh has suspended its core on-demand delivery service and initiated significant layoffs affecting the majority of its staff, as reported in late July 2022. The company, which went public on Nasdaq in 2021, cited a strategic shift to maximize profitability as it discontinues its fast-delivery model. This downsizing reflects the severe financial pressures and challenges in achieving profitability within the capital-intensive "distributed mini warehouses" model common in China's competitive online grocery industry. MissFresh will continue operating its second-day delivery and retail cloud services.

PuduTech laid off 1,500 employees on 2022-07-08.

Cryptocurrency exchange Huobi Global is planning significant layoffs, potentially cutting over 30% of its workforce, which translates to at least 300 employees out of a total exceeding 1,000. This restructuring, reported in June 2022, is a direct response to a sharp decline in revenue following China's comprehensive ban on crypto trading. The company had been phasing out services for Chinese users since September 2021, with complete access revoked by the end of that year. As a major Seychelles-based exchange, Huobi cited the need to realign its manpower with operational needs amid the challenging market downturn affecting the broader crypto industry.

Ziroom representing approximately 20% of its workforce on 2022-06-10.

Xiaohongshu laid off 180 employees representing approximately 9% of its workforce on 2022-04-21.

WeDoctor laid off 500 employees on 2022-03-02.